OREANDA-NEWS. November 07, 2014. PT Pertamina (Persero) began converting fuels for mobile tanks from non-subsidized diesel fuel to LNG as part of the implementation of oil to gas fuel conversion program. With this conversion, Pertamina could make efficiency as much as 42,000 KL of fuel per year or equal to Rp 280 billion.
 
The beginning of the conversion program was marked by the inauguration of LNG use as fuel for Pertamina’s mobile tanks at the Balikpapan Fuel Terminal by the company’s marketing and trading director, Hanung Budya.
 
Hanung Budya said that in a bid to support the implementation of energy mix as mandated by Presidential Decree No. 5/2006, Pertamina thought it was necessary to implement the oil to gas fuel conversion program in all fields, including to Pertamina’s mobile tanks that usually used nonsubsidized diesel fuel. After various trials, he added, Pertamina concluded that the use of LNG was perfect for mobile tanks.
 
“From the results of our trials, with the combination of 43% diesel fuel and 57% of LNG, we can create more than 14% efficiency compared to using 100% nonsubsidized fuel. This is very exciting and we’re committed to expand the implementation of this program to all Pertamina’s big-sized mobile tanks,” he said.
 
In the trials, Pertamina installed conversion kits to 5 mobile tanks by using dual fuel system. In addition to that, Pertamina also procured ISO LNG tanks as well as constructing LNG refueling facility at the Balikpapan Fuel Terminal.
 
Hanung said there were 2,100 mobile tanks operated by Pertamina whose fuel could be converted to LNG. If those mobile tanks could be converted, the total money that could be saved reached Rp 280 billion per year.
 
“Diesel fuel that can be saved reached 3,500 KL per month. The saving can be added of the LNG composition in the fuel mix is bigger. In the near future, we will also have trial to use 100% LNG,” he said.
 
Pertamina gas director Hari Karyuliarto revealed that for initial phase, the supply of LNG for the conversion program will come from PT Badak NGL that would collaborate with Pertamina’s subsidiary, PT Pertagas and PT Nusantara Regas. He said LNG was suitable to be used for heavy duty vehicles like mobile tanks, trucks and mining heavy equipment as well as long-distance large truck.
 
Indonesia, he said, would benefit if the program which was initiated by Pertamina was implemented to vehicles alike by other companies. So far, he added, Pertamina had done the pilot project to use LNG as fuel for heavy equipment and other mining transportations cooperating with Indominco Mandiri and Berau Coal.
 
If this initiative could be implemented by other heavy vehicles, the impact would be very positive because it could curb dependency on diesel fuel. Pertamina projected that the utilization of LNG in the transportation sector and heavy equipment could reach 0.4 million tons in 2015 and 1.3 million tons in 2019. Those LNG would be used by vehicles in mining, plantations and long-distance buses. That amount could increase if train and vessels also used LNG. With that use of LNG, the country could cut the consumption of diesel fuel by 0.9 million KL in 2015 and 3 million KL in 2019.
 
In addition to be very environmentally friendly because its emission was very low compared to diesel fuel, the use of LNG as fuel in the transporation sector had various advantages. The safety level of the use of LNG was also guaranteed because it was kept in normal pressure.